Gensym Responds to Schedule 13D SEC Filing

Business Wire, June 27, 2007

BURLINGTON, Mass. -- Gensym Corporation (Pink Sheets: GNSM), a leading provider of rule engine software for mission-critical solutions, announced that an amended Schedule 13D has been filed with the Securities and Exchange Commission by Johan Magnusson Gedda. The filing states that an affiliated entity made a written proposal to acquire the outstanding shares of common stock of Gensym at a price of $2.50 per share, subject to obtaining financing, completing a due diligence review, executing definitive documents and other customary conditions.

Gensym reported that it had retained a financial advisor and was in the process of reviewing its strategic alternatives, and confirmed as part of this process the receipt of acquisition proposals, including from Gedda.

There is no assurance that any transaction involving Gensym will take place or, if a transaction does occur, the amount that may be paid to Gensym or its shareholders in connection with any such transaction.

About Gensym Corporation

Gensym Corporation (www.gensym.com) is a leading provider of rule engine software and services for mission-critical solutions that automate decisions in real time. Gensym's flagship G2 software applies real-time rule technology for decisions that optimize operations and that detect, diagnose, and resolve costly problems. With G2, the world's largest organizations in manufacturing, utilities, communications, transportation, aerospace, finance and government can maximize the agility of their businesses and achieve greater levels of performance. Gensym and its numerous partners deliver a range of services throughout the world, including training, software support, application consulting and complete solutions.

Gensym and G2 are registered trademarks of Gensym Corporation. All other trademarks are property of their respective owners.

This news release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Any statements contained in this news release that relate to prospective events or developments are deemed to be forward-looking statements. These forward-looking statements are subject to important risks and uncertainties, which could cause actual results to differ materially from those anticipated. Such risks and uncertainties include, but are not limited to the possibility that no agreement may be reached regarding strategic alternatives that may be available to Gensym, the fact that even if such agreement is reached a transaction may not be consummated, the impact of intense competition, the effectiveness of our indirect distribution channel and strategic relationships and the ability of our partners to effectively market and deliver their Gensym-based solutions, fluctuations in demand for our products, and the other risks factors discussed in our most report filed with the Securities and Exchange Commission. Although we believe the expectations reflected in the forward-looking statements are based on reasonable assumptions, we can give no assurance that our expectations will be attained. We disclaim any intent or obligation to update any forward-looking statement as a result of developments occurring after the date of this news release.